BELL PEPPERS, FRESH MARKET, TRICKLE IRRIGATED
Kentucky Estimated per Acre Costs and Returns for 2001
Quantity Unit $/Unit Total
GROSS RETURNS
Bell Peppers (1 1/9 bushel) 1100 box  $    8.00  $ 8,800.00 a,b
VARIABLE COSTS
Production
   Plants 12 1000  $   50.00  $    600.00
   Lime 0.5 ton  $   12.12  $       6.06
   Fertilizer: 5-10-10 Spread 12 cwt  $    7.50  $      90.00
   Fertilizer:  Side Dressing Ammonium Nitrate 75 lbs  $    0.09  $       6.75
   Black Plastic/Drip Lines 1 acre  $ 300.00  $    300.00 c
   Herbicides 1 acre  $      17.71 d
   Insecticides 6 apps.  $      67.91 d
   Fungicides 3 apps.  $    159.70 d
   Irrigation 90 hrs.  $    0.40  $      36.00 c
   Machinery Variable Costs 1 acre  $   35.73  $      35.73 e
Total Preharvest Variable Costs  $ 1,319.86
HARVESTING AND MARKETING
 Boxes 1100 boxes  $    1.25  $ 1,375.00
 Plastic Disposal 18 hours  $    8.00  $    144.00
 Plastic Disposal Fee 1 fee  $   10.00  $      10.00
 Hired Labor
   Harvest  $    0.75 box  $    825.00 f
   Packing, Grading  $    1.30  $ 1,430.00
   Marketing Costs (10% of Gross) 10.0% gross  $    880.00
   Hauling Labor Charge 10 hours  $    8.00  $      80.00
 Hauling Variable Costs 1100 boxes  $    0.07  $      77.00 e
Total Harvesting and Marketing Cost  $ 4,821.00
Interest on Variable Costs  $    167.87
TOTAL VARIABLE COST  $ 6,308.72
RETURN ABOVE VARIABLE COSTS  $ 2,491.28
FIXED COSTS
   Machinery and Equipment  $    114.63 e
   Depreciation on Irrigation System  $    159.94 d
   Taxes on Land  $       5.00
   Insurance  $      44.00
TOTAL FIXED COSTS  $    323.57
TOTAL EXPENSES  $ 6,632.29
RETURN TO OPERATOR LABOR, LAND, CAPITAL, & MGT.  $ 2,167.71
Operator and Unpaid Family Labor 40 hrs.  $    8.00  $    320.00
RETURN TO LAND, CAPITAL, AND MANAGEMENT  $ 1,847.71
a Yield based on USDA season averages and KY historical data
b Price based on USDA season average price received by producers 1995-98 average $19.72/cwt and 1999 average $20.59/cwt
c 2000 UK standard value for trickle irrigation.  Startup costs = $1244 for small farm trickle irrigation system
   Irrigation costs may vary widely depending on water source; on-farm source is assumed here.
d Pesticide costs based on recommended applications of various products using 2000 UK product costs
e Machinery costs based on 2000 Iowa State estimated machinery costs adjusted to Kentucky and vegetable production
f  Based on state budgets with revisions by Kentucky vegetable experts.  1996 Clemson total for harvest/pack:  1.10